A variety of scandals, heightened public scrutiny, the threat of increased regulation and oversight, and the realization of the need for donor confidence fuel the move among nonprofits toward clearly articulated and broadly understood standards of con- duct. The American Red Cross adopted detailed additional ethics standards as a result of the issues; the U.S. Olympic Committee’s experience is laid out. The United Way of America developed a strong ethics regime because of a scandal in the 1990s. From the local Little League team and Boy Scouts to the county orchestra and local hospital, nonprofit organizations face issues with significant ethical content. Part of the response is to adopt codes of con- duct and develop ethics programs.
But what kind of code? How detailed? How legalistic? And for what purpose— encouraging ethical behavior, preserving funding, avoiding increased regulation, or some combination? The answer to this last question speaks to another: Who is the audience—donors, general public, legislative leaders? How are nonprofits to make standards clear and understandable, give before-the-fact advice, and go about enforcement?